Almost every organization I talk to is redefining its approach to performance management. There is widespread dissatisfaction with the traditional tick-box approach and many have already embraced much more flexible models. Others are finding that the techniques of old are so ingrained that making a shift is proving quite difficult.
As part of Cirrus and Ipsos MORI’s Leadership Connections 2016 research, senior executives from major organizations were asked where HR teams contributed most to the business. In their opinion, the top contribution areas were talent attraction for 55% and performance management for 46%.
When they discussed this finding with HR, talent and L&D professionals, many felt this represented a great opportunity for them to influence their corporate culture. There was an overwhelming desire to move away from traditional performance management systems towards a more holistic approach to improving individual and business performance.
Instead of formal annual appraisals or twice-yearly reviews, many companies are seeing results shifts due to frequent supportive conversations. There is a move towards really understanding business needs and creating almost a “bespoke", multifaceted approaches aligned with purpose, rather than “one-size-fits-all” solutions.
Making this shift can be tough. It often requires real cultural and behavioral change. The results however, can have a deep and lasting impact – not only on individual employees, but also across the entire organization.